Current Attempt in Progress Bumblebee Company estimates that 318,000 direct labor hours will be worked during the coming year, 2020, in the Packaging Department. On this basis, the following budgeted manufacturing overhead cost data are computed for the year. Variable Overhead Costs Fixed Overhead Costs Supervision $93,960 Depreciation 69,120 Indirect labor $152.640 89,040 Indirect materials Repairs Insurance 30,720 31,800 Rent 20,760 Utilities 47,700 Property taxes 13.440 Lubricants 15.900 $228,000 $337,080 It is estimated that direct labor hours worked each month will range from 22.500 to 33,900 hours. D During October, 22.500 direct labor hours were worked and the following overhead costs were incurred. Fixed overhead costs Supervision $7.830, Depreciation $5.760, Insurance $2.510 Rent 91.730. and Property taxes $1,120. Variable overhead costs: Indirect labor $11.890, Indirect materials, 55.920. Repairs $2,170, Utilities $3,775, and Lubricants $1.415 (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 3,800 direct labor hours over the relevant range for the year ending December 31, 2020. (List variable costs before need costs) BUMBLEBEE COMPANY Packaging Department Monthly Manufacturing Overhead Flexible Budget For the Year 2020 $228,000 $337,080 It is estimated that direct labor hours worked each month will range from 22,500 to 33,900 hours. During October, 22,500 direct labor hours were worked and the following overhead costs were incurred. Flued overhead costs. Supervision $7,830, Depreciation $5,760, Insurance $2.510, Rent $1,730, and Property taxes $1.120 Variable overhead costs, Indirect labor $11.890, Indirect materials. $5,920, Repairs $2,170, Utilities $3,775, and Lubricants $1415 (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 3,800 direct labor hours over the relevant range for the year ending December 31, 2020. (List variable costs before fixed costs) BUMBLEBEE COMPANY Packaging Department Monthly Manufacturing Overhead Flexible Budget For the Year 2020 $ (b) Prepare a flexible budget report for October. (List variable costs before fixed costs.) BUMBLEBEE COMPANY Packaging Department Manufacturing Overhead Flexible Budget Report For the Month Ended October 31, 2020 Diffe Fava Unfay Neither nor Unf Budget Actual Costs $ V BUMBLEBEE COMPANY Packaging Department Manufacturing Overhead Flexible Budget Report For the Month Ended October 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs $ > > >
